Lenders usually set their business loan eligibility criteria based on the following factors:
- Age: 21 years at the time of loan application and 65 years at the time of loan maturity (may vary across lenders)
- Minimum Business Vintage: 3 years (may be 5 years for some lenders)
- Minimum Business Turnover: Rs 90,000 to more than Rs 250 crore
- Credit Score: 750 or above (some lenders may offer business loans to applicants having lower credit scores)
- Minimum Income: Rs 1 lakh p.a.
- Eligible Entities: MSMEs, Proprietors, Limited Liability Partnership firms, Private Limited Companies, Public Limited Companies, self-employed individuals, self-employed professionals (doctors, CA, CS, architect, etc.) individual corporations, etc.
Documents Required for Business Loan
- ID Proof: Voter ID, Driving License, Aadhar Card, Passport
- PAN Card for partnership firms, individuals and companies
- Address Proof: Telephone/electricity bill, Voter ID, Passport, Bank Statement, Driving License, registered lease deed or sale agreement, NREGA Card
- Age Proof: Birth certificate, PAN card, Aadhar card, Passport, etc.
- Ownership proof of residence or office
- Business continuity proof
- Copy of company’s PAN card
- Business registration proof
- Passport size photographs
- Latest GST returns
- Bank statement for last 6 months
- Latest ITR along with income computation, B/S, P&L account for last 2 years certified by a CA
- Sole proprietor declaration or certificate
- Partnership deed copy
- Certified copy of MOA, AOA and Board Resolution
